BOSTON — The Bay State is booming with Israeli high-tech and medical industries, and seems to be more than holding its own compared to the technologically plush region of the Silicon Valley.

Shimon Alon, president and CEO of Precise Software Solutions in Braintree and president of the New England-Israel Chamber of Commerce, said that out of the 60 Israeli companies now registered with the chamber, 13 are new to the region this year.

Acknowledging New England’s appeal for Israeli companies, Alon told Boston’s Jewish Advocate during an interview, "I think people realize eventually that there are very many advantages." Among them, he cited the infrastructure of Boston’s venture capitalists and "the overall education system and resources."

"Access to Harvard, MIT and other universities has enabled us to hire high- tech savvy talent," agreed Randy Clark in a Wall Street Journal story, a Harvard graduate and vice president for Enigma Information Retrieval System, an Israeli company with offices in Waltham.

In addition, he noted that in the West Coast, where the demand for personnel trained in high-tech industries is high, "there is no stability and loyalty in the companies."

Yet, relative proximity to Israel ranked the number one factor in tipping the high-tech scales in Boston’s favor. While the West Coast, which has a 10 hour time difference compared to Israel, allows "a small window in the day to be in touch with your [Israel headquarters] office," the East Coast can facilitate communications "much faster and more hours during the day."

In addition, businesses do not seem to overlook the social aspects of the Hub.

"Let’s not play down the fact that Israelis just feel comfortable in Boston,"said Michel Habib, Israel’s economic consul in Boston. "It’s like a little Israel here. The community is close-knit, unlike in Silicon Valley."

Bolstered by these factors, high-tech trade and investment between Boston and Israel cash in at $800,000,000, he noted.

Discussing the procedure of setting up shop across the Atlantic, Alon said that while some operate on a "beach head operation," bringing a large staff at once, others send only CEO’s and top administrators to advise during the formative stages.

And once they get here, the support infrastructure appears to be substantial.

"The New England-Israel Chamber of Commerce, with Market Gateway, is doing a great job in ... supporting" the fledgling branches, said Alon, who stepped in as president only six weeks ago.

Market Gateway, a program that assists Israeli and other start-ups get established in Boston, is the product of a 1994 $400,000 donation from Combined Jewish Philanthropies, the chamber and other donors.

Of the 70 Israeli companies that Alon believes are here, he estimates that 10 of them are involved in the medical industry. "In comparison to the overall start-ups in Israel, this is a high number."

The thriving medical community here likely encouraged that abundance. Indeed, Charles Yelen, managing director of the International Marketing Department of the Massachusetts Port Authority, said "we focus on Massachusetts companies exporting medical devices to Israel."

The commonwealth’s Port Authority, which has an office in Jerusalem, reported a 14 percent increase in export to Israel from 1995 to 1996, and an 18 percent increase the following year. "Clearly, the connection between Israel and this region are very significant," Yelen maintained.

"It’s important to see their is an increase in trade even in absence of direct air service" from Boston to Israel, he continued. The addition of flights between the two business hubs is "something we are pursuing with El Al," Yelen said.

And, of course, the Israeli government is also pushing for increased business between Israel and New England. The economic consul is responsible for helping the start-ups "find the right place, the right contacts," said Habib.

"In Israel, every company that has a marketing system to the United States receives compensation from the government," he added.

While there is no ceiling to the marketing fund which operates on a case-by- case basis, it is tantamount to some $30 million, estimates Habib. Of that amount, he said, there is no way to determine how much went towards Boston operations.

The New England region had the opportunity to showcase some of its Israeli bounty at a national conference called Israel’s Emerging Technologies in Waltham last month.

Alon, a Brookline resident for the last 15 years, was president and CEO of the Israeli company Scitex before he came to Precise a year and a half ago.

Tamar M. Sternthal is a staff reporter for Boston's Jewish Advocate.

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